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If a Tesla Cybercab fleet were profitable, Tesla wouldn't sell you one

29 pointsby jijojvtoday at 2:49 PM16 commentsview on HN

Comments

contravarianttoday at 4:46 PM

Bit of a weird world where we don't have self-driving cars but we did manage to automate the writing of articles lamenting that fact.

delichontoday at 4:47 PM

Opportunity cost is the standard, not profitability. Companies generally try to invest in their core competencies and outsource the rest. The Nvidia deal with Groq is an example. They spent $20B for Groq's inference technology while leaving their profitable cloud services business alone. Selling shovels instead of mining gold can be a rational choice even when gold mining is profitable. And the shovel companies do better when gold mining is profitable.

ungreased0675today at 4:03 PM

Amazon subcontracts their delivery services, so there are probably additional factors driving Teslas decision.

My guess is the insane liability a car accident can create. Trucking companies have had to pay out millions, even for accidents where they weren’t at fault.

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tahoeskibumtoday at 4:40 PM

Not really, kind of like Uber doesn't buy its own cars. The CyberCab owner provides the capital and parking spot and some maintenance, while Tesla takes a cut, just like Uber does. I'd be happy to have my car earn money for me while I'm away at office or away on a business trip.

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treetalkertoday at 4:10 PM

accountability sink

gyanchawdharytoday at 4:42 PM

Dumb take but but I guess that journos gotta earn a living …

I bet his draft folder has a doc with the title “if US treasuries were profitable, US gov wouldn’t sell you one”

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ck2today at 4:52 PM

[dead]

ameliustoday at 4:51 PM

The reason Tesla won't sell me one is that I'm not buying anything from Musk.